CORPORATIONS AND MONEY LAUNDERING IN THE WAKE OF PANAMA PAPERS

Abstract Business and trade never required law. Business pre-dates law. Business consists of mutual undertaking of performance of certain obligations between at least two parties. The driving force behind the performance of these obligations, since the time of barter system, has not been law and punishment it can inflict. But rather it has been the desire to obtain the mutual benefits and negatively the conformity to social norm of making good on one’s undertaking in trade so as to keep of engaging in trade or business with others. Even in absence of law a person who does not fulfill his obligations in a business is punished through his ouster among the traders due to his reputation. The purpose of law is equity among greatest number of people in all aspects. Law facilitated business to grow larger than ever more complex, transcend boundaries and involve more and more people giving birth to the modern markets, economic systems and corporate world. However, how two of the most important creations of law and business the Corporation and Financial Service are used to defeat the fundamental purpose of law-Equity. The essay tries to explain